External view of Bellevue Place in Bellevue, WA

As of November of 2020, one of the Seattle area’s largest general contractors, JMS Construction, has filed for Chapter 7 bankruptcy — while still owing at least two subcontractors from five different unpaid work claims. 

JMS Construction’s bankruptcy filing also states the general contractor owes $3.4 million in nearly 90 combined unsecured claims to creditors, which includes payments owed to the aforementioned two subcontractors. 

The unpaid construction work claims, known as mechanics liens, were processed against JMS Construction between July and August of 2020 on three separate office building projects in the Seattle metro area. 

Mechanics liens provide unpaid contractors with a security interest in the property until they have received payment. Until the lien claim has been removed from the property title, it can hinder a property owner’s ability to sell or refinance the property. 

Each mechanics lien claim was processed with the King County clerk’s office in accordance to Washington State mechanics lien laws

JMS Construction officially filed for bankruptcy on November 13, 2020, according to bankruptcy documents from the US Bankruptcy Court for the Western District of Washington. 

Two contractors owed by JMS Construction 

Since July of 2020, two subcontractors have filed a combined five mechanics liens worth $226,661.44 at JMS Construction projects pursuant to contracts with the bankrupt GC. 

Subcontractor Spectra Contract Flooring has filed four of the unpaid work claims following renovation construction to office towers in Bellevue, WA, totalling $203,140.52. 

Two of Spectra Contract Flooring’s lien claims worth a combined $78,800 from mid-August 2020 were filed against an office development located at 800 NE Bellevue Way NE, Bellevue, WA. The office building spans six floors with 113,019 square feet of total space.  Another lien was filed by Spectra Contract Flooring against the adjacent Bellevue Place Office development at 10500 NE 8th Street, Bellevue, WA. The lien, worth $40,279.23 from August 13, 2020, was filed against a 21-story, 397,428-square-foot office tower.

Both Spectra Contract Flooring and subcontractor CFM Heating & Cooling, Inc. have also filed liens against a third disputed property attached to JMS Construction at 9825 Willows Road NE, Redmond, WA. 

The 3-story office complex, known as the Willow Commerce Park, spans 56,047 square feet on five acres of land. 

Similarly to the Bellevue Place Office project, construction at Willow Commerce Park was a renovation project. 

On August 26, Spectra Contract Flooring filed their most recent lien claim to date against JMS Construction at Willow Commerce Park, totaling $84,005.83 in unpaid work.